Baggallini is 2nd deal in 2011 for R.G. Barry

Slipper maker R.G. Barry Corp. is making a play for the broader women’s accessories market, agreeing to buy the assets of a handbag producer for $33.8 million.

The Pickerington company said Wednesday its purchase of Baggallini Inc. is expected to close this month, when the Portland, Ore.-based business will begin operating as a subsidiary of R.G. Barry (NASDAQ:DFZ).

The privately held Baggallini makes handbags, tote bags and accessories that are sold at boutiques and online in North America. The purchase marks the second acquisition this year for R.G. Barry, which in January struck a deal to buy luxury insoles maker Foot Petals LLC of Long Beach, Calif.

CEO Greg Tunney said in a release that deals will “transform our business and our future.” As a slipper producer, R.G. Barry said it has tapped into just 2 percent of the $30 billion-a-year women’s accessories market and relies heavily on the holiday season for sales. Foot Petals and Baggallini, the company said, should boost sales and profit margins and make the business less reliant on a single shopping season.

Executives say they plan to discuss the deal in more detail when the transaction closes.

R.G. Barry earned $9.4 million in its fiscal year ended July 3, up 34 percent from 2009, as revenue increased 9 percent to $123.8 million.